3. The volatility of a non-dividend-paying stock whose price is $78, is 30%. The risk-free rate is 3% per annum (continuously compounded) for all maturities. Calculate the following when a 2-month time step is used: a. What is the percentage up movement? b. What is the percentage down movement? c. What is the probability of an up movement in a risk-neutral world? d. What is the probability of a down movement in a risk-neutral world? e. What is the value a 4-month European call option with a strike price of $80 given by a two-step binomial tree? Draw your binomial tree